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IS PORTLAND THE NEXT FASHION MECCA?

BY PAMELA ELLGEN

he lights of Portland Fashion Week have faded. Pop-up shops folded their wares into trunks. After parties died Tdown. Models went home to eat a sandwich. And designers put away their 2014 collections. Now what? Is Portland on the fast track to becoming the next fashion mecca behind Los Angeles and New York? Some think so. The city boasts more Project Runway winners than either of those cities, four as of the 2013 season. Beyond the realm of reality television, the city incu- bates dozens more fashion designers who go on to earn national and international acclaim and, more importantly, support themselves doing what they’re really good at. However, the city often loses its design tal- ent to bigger markets. Some stay, of course. Seth Aaron and Michelle Lesniak, both Project Runway winners, remain fi rmly planted. Stephanie D. Couture has been successfully designing vintage-inspired bridal gowns and other ready-to-wear pieces in Portland since 2008. Adam Arnold set up shop in 2002 in Southeast and has been designing and produc- ing his own clothing since then. And family- owned Pendleton Woolen Mills continues to age “like a fi ne wine,” says Refi nery29, the largest independent fashion and style website in the US. However, Pendleton is one of the only fash- ion houses in the city offering living wage jobs. And that’s what it all comes down to, says Tito Chowdhury, original owner of Port- land Fashion Week, now FashioNXT. At left, a model “There are so many designers who are do- wearing a wedding ing good fashion and then have to work three suit by Sunjin Lee or four other jobs,” he says. “You cannot have walks the runway an industry when you don’t have living wage.” at Portland Fashion The Art Institute of Portland, a presenting Week. At right, a sponsor at the new Portland Fashion Week model showcases a and the source of all designers for the fi nal dress by Lizz evening of runway shows, keeps employment Basinger. statistics on its graduates. In 2011, the most RICH ELLGEN/ELLGEN CONTINUED / Page 4 PHOTOGRAPHY 4 BUSINESS TRIBUNE Tuesday, May 6, 2014

Adam Arnold has been designing and constructing clothing for a loyal clientele since 2002.

Ready-to-wear garments hang on a rack at Adam Arnold’s studio.

■ just selling in Portland or around the north- From page 3 west,” he says. “There are so many design- ers here. If you sell to one shop, the other recent year it reported, graduates with a shops don’t want you because they want you Bachelor’s degree in apparel design were to be exclusive.” earning only $24K a year. He has considered relocating to a bigger Designer Bryce Black graduated from the market, but even that can be cost prohibi- school, went on to become a contestant on tive. Project Runway and was recently named “There’s only so much you can grow in Best Emerging Menswear Designer at the Portland,” he says. “People want to keep us 2013 Portland Fashion and Style Awards. De- here, but they need to invest in us.” spite his apparent success, fashion design A large part of the problem, according to doesn’t pay the bills. The same is true for Chowdhury, is that fashion is not recognized PHOTOS COURTESY OF RICH ELLGEN/ELLGEN PHOTOGRAPHY most designers in Portland, Black says. A vest under construction by iClothing designer Adam Arnold in his Southeast Portland studio. “You can’t really sustain your business CONTINUED / Page 5

PRESIDENT VICE PRESIDENT CIRCULATION REPORTER PHOTOGRAPHERS J. Mark Garber Brian Monihan MANAGER Joseph Gallivan Jonathan House, Jaime Valdez PortlandTribune Business Kim Stephens WEB SITE OFFICES Tribune EDITOR AND ADVERTISING DIRECTOR DESIGN ASSOCIATE PUBLISHER CREATIVE portlandtribune.com 6605 S.E. Lake Road Christine Moore Pete Vogel Portland, OR 97222 Vance W. Tong SERVICES MANAGER CONTACT 503-226-6397 (NEWS) Cheryl DuVal [email protected] Tuesday, May 6, 2014 BUSINESS TRIBUNE 5 “ You can’t really sustain your business j ust selling in Portland or around the northwest. There are so many designers here. If you sell to one shop , the other shop s don’t want you because they want you to be ex clusive.” — Bryce Black, designer ■ From page 4 idea and go on to successfully execute a product line year after year. by the city as one of its core sectors. Conse- Designer Adam Arnold maintains a simi- quently, big fashion houses are not attract- lar perspective. He owns and operates a full- ed to the city with tax breaks and other in- service studio out of Southeast Portland centives. If that were to occur, it would where he creates custom garments for a loy- have beyond the local fashion scene, al local clientele. Born and raised in Vancou- he says, with athletic wear companies such ver, he left the area to attend school in San as Nike and Adidas able to recruit local tal- Francisco and then settled in Seattle where ent instead of spending hundreds of thou- he worked for London Fog. sands recruiting designers from larger “I didn’t move here [initially] because I markets. didn’t think there was a market here,” he Another challenge for local designers is admits. But a lot had changed since he left having their garments manufactured. While and on a visit to his parents, the city capti- sending designs off to China is a solution for vated him. He set up shop in Southeast 2002 a few, unit minimums make it out of the and has thrived with strong client relation- question for many. ships and through word-of-mouth advertis- However, the Portland Garment Factory, ing since then. created in 2008 by Britt Howard, gives life to Like any business, he has faced challeng- the vision of many fl edgling designers and es but says, “It’s a creative industry; creativ- accommodates everything from individual ity is necessary when there are challenges prototypes to complete collections. Howard or problems. But I love what I do. I love my has a far more optimistic take on the fash- studio. I love my work. It gives me joy. It’s ion industry in Portland and has seen many hard work. Feeling like I’ve worked hard Marcus Harvey, founder of Creative 3 5, shared his vision for clothing design and manufacturing at individuals come in with just a sketch or an and smart on a project... that satisfi es me.” Portland Fashion Week

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ness plan competition hosted by the it & Social Venture); $750 for 2nd School of Engineering, has been tal Law regulation University’s Franz Center for Lead- place (for-profi t) and $250 for 3rd named as a winner of the 2014 Ver- and permitting. ership, Entrepreneurship, and Inno- place (for-profi t). Sponsors include nier Software and Technology Engi- The Advisory vation. D&B, LivePlan, Lane Powell, Do- neering Contest. She joins co-win- Committee on Sus- The winning engineering group main.com, AARP, Portland Business ners Gary Garber of Boston Univer- tainability and Inno- Dynamic Assistive Technologies Journal, and the Oregon Entrepre- sity Academy and Julianne King of vation is a citizen consisted of Jordan Schiemer, Audre neurs Network (OEN). the Regina Caeli Academy in Spring, commission that pro- Ramey, Caroline Pisani, Ann Tru- In addition, fi nalists in the for- Texas, each of whom used Vernier vides advice and ad- ong, Mikah Bacon, and Matt Brown. profi t track will be eligible for an in- sensors to introduce engineering vocacy on sustain- Dynamic Assistive Technologies cre- vestment of up to $100,000 (half cash concepts or practices in the class- STAFFORD ability issues affect- ated an assistive drinking cup for and half support services). The win- room. ing the community, those who suffer from hand tremors. ner of the Social Venture track will Selected by a panel of Vernier edu- environment and economy. Among its Schiemer took a lead role in the be eligible for a $2,500 grant and cational experts, each winner re- activities, the committee evaluates group’s $100K Challenge project. $2,500 in professional services. In- ceived $1,000 in cash, $3,000 in Vernier proposals for innovations in technolo- “With the success of our team’s vestment decisions will be made by technology, and $1,500 toward ex- gy and business processes that may senior design project, I wanted to the Launch Pad committee. penses to attend the 2014 National be applicable to county operations. create a company that produced and Science Teachers’ Association Sci- developed assistive devices for those Shari’s Café and Pies takes ence, Technology, Engineering, and CBRE arranges sale of who suffer from involuntary hand home fi ve gold medals Mathematics (STEM) conference or Cascade Station buildings PHOTO COURTESY OF HFF tremors,” Schiemer said. “I wrote a the 2014 American Society for Engi- HFF recently arranged $ 5 million in business plan for Dynamic Assistive Shari’s Café & Pies proudly ac- neering Education (ASEE) confer- Two Class A offi ce buildings, Cas- fi nancing for imp rovements to the Technologies, an assistive medical cepted Five Gold Medals at the 2014 ence. cade Station Corporate Center I and eight-story Woodmark Building in device company specializing in vi- National Pie Championships in Or- Applications were judged on inno- II (CSCC), located at the gateway to downtown Portland. bration suppression technology. I lando, Florida last week. Amateur vation, engineering objectives, and Portland International Airport, wanted to create a company so these pie makers, professional bakers, the ease by which others can repli- were recently sold by CBRE. devices might reach the hands of cli- chefs and commercial pie compa- cate the project. Middle school and CBRE’s represented the seller, HFF arranges $ 5 million ents.” nies from around the country and high school appli- Trammell Crow Company and their Second place in the for-profi t cate- Canada have been competing at the cants were addition- partner in CSCC I, Real Estate Capi- fi nancing for Woodlark gory was Connor Whan and his NPC since 1995. ally asked to specifi - tal Partners in this transaction. Building business FlavOils. Whan is a senior Shari’s took home the Gold Medal cally explain how CBRE’s Debt and Structured Fi- majoring in entrepreneurship and for fi ve Pies, all in the Premium Cat- the project address- nance team assisted the buyer, HFF has arranged $5 million in innovation. Third place consisted of egory: Key Lime; Cookies and es the engineering Woodside Palisades Partners, in fi nancing for the Woodlark Build- engineering students Sean Cream; Peanut Butter Chocolate practices called for achieving attractive 75 percent LTV ing, a 43,887-square-foot historic of- O’Rourke, Peter Chamberlin, and Silk; Banana Cream Dream; and in the Next Genera- long term CMBS fi nancing on the fi ce building in downtown Portland. Nick Mackinnon with their business French Silk. tion Science Stan- acquisition of this property. The HFF worked on behalf of the bor- AutoPilot Medical Technologies. “Shari’s has a history of making dards (NGSS). property was acquired by Woodside rower, a joint venture between NFN Junior entrepreneurship & inno- the best pies in the Northwest”, said MUNRO Munro’s entry, Palisades Partners, a partnership Investments, LLC and Arthur Mu- vation major Ari Morris took fi rst Kevin Bechtel, Sr. Vice President. “Developing a Bio- formed by former Arden Realty tual Investments, to arrange acqui- place in the Social Venture track “And our guests have always recog- mechanics Course,” CEO, Joaquin de Monet and inves- sition fi nancing through a non-local with his business Youth Skate Move- nized the quality of our pies. We al- features a six-station lab designed to tors from Silicon Valley. The part- debt fund. Loan proceeds were ment. ways knew that our pies could com- give students hands-on experience nership is a programmatic venture used to acquire the property. The $100K Challenge Venture pete with the best in the country. with how different laboratory equip- and represents the fi rst for de Mon- The Woodlark Building is located Competition provides students with But these awards validate that we ment can be used for biomedical re- et’s Palisades Capital Realty Advi- at 813-817 SW Alder at the intersec- opportunities to receive feedback can compete... and win, on a nation- search. In addition, this course pro- sors. tion of SW 9th Avenue in downtown from experts in the entrepreneurial al level”. vides exposure to testing with human Developed by Trammell Crow Portland. Built in 1912, the eight- community, win monetary prizes, subjects, as well as an introduction to Company, CSCC is a 127,000 square story building has undergone con- and acquire legal services that will UP p rofessor wins anatomy, physiology, and the termi- feet project located in the heart of tinued improvements and renova- help advance their idea to the next engineering contest nology used in the medical industry. Cascade Station, a mixed-use com- tions since completion, including a stage. plex at 9500 and 9600 NE Cascades recent lobby refi nish and exterior Prizes for this year’s competition Deborah Munro, a professor in the Stafford ap p ointed to Parkway. CSCC I is LEED Gold cer- painting. The property is 91 percent include $1,250 for 1st place (for-prof- University of Portland’s Shiley county committee tifi ed. Cascade Station was devel- leased to a variety of offi ce and re- oped by Trammell Crow Company tail tenants. Tonkon Torp attorney Kimberlee and Bechtel Enterprises as part of a The HFF team was led by manag- A. Stafford has been appointed to public/private partnership that ing director Tom Wilson and senior serve a two-year term on Mult- brought MAX Light Rail to the air- real estate analyst Erica Chris- nomah County’s Advisory Commit- port. tensen. tee on Sustainability & Innovation At the time of sale, both buildings “This transaction is an example of (ACSI). were fully leased with ITT and how non-local lenders are taking an Stafford is a member of Tonkon Wells Fargo as major occupants. interest in Portland’s commercial re- Torp’s Real Estate & Land Use prac- al estate market, even for smaller tice group as well as the Energy and Dundee z one changes would transactions,” Wilson said. Environmental & Natural Resources create new downtown core practice groups. UP students win annual She chairs the Tonkon Torp Sus- After receiving a grant recently, $ 1 00K Challenge Venture tainability Committee and has been the city of Dundee has been looking an active member for many years. forward at ways to improve the over- Six Shiley School of Engineering She is a former member of the Execu- all feel of the city and establish a students placed fi rst in the for-profi t PHOTO COURTESY OF UNIVERSITY OF PORTLAND tive Committee of the Oregon State sense of place. Currently, this in- business category of the University University of Portland engineering students Audre Ramey, Mikah Bacon, Ann Bar Environmental and Natural Re- cludes rezoning the downtown area. of Portland’s $100K Challenge Ven- Truong, Caroline Pisani, J ordan Schiemer, and Matt Brown recently won the sources Section, and is co-editor of a ture Competition, an expanded busi- fourth annual $ 1 00K Challenge Venture Comp etition. new reference book on Environmen- CONTINUED / Page 7 Tuesday, May 6, 2014 BUSINESS TRIBUNE 7 Email your business briefs to: [email protected] YOURBUSINESS

■ “We heard the concerns of effect- of Essia Health’s Portland offi ce. From page 6 ed property owners,” Pelz said. “Essia Health forms long-term “The next step is the planning com- partnerships with healthcare sys- “Currently there are two com- mission workshop (April 16). What- tems implementing new EMR tech- mercial zones in Dundee, applied ever the end result is going to be, nologies. Our one-on-one EMR im- kind of in a scattered way along right now we’re open to change, plementation support helps physi- (Highway) 99W,” said Jessica Pelz, suggestions and editing.” cians and care teams quickly gain associate planner in charge of the Pelz said they are hopping to comfort and confi dence with the project. “(The project) will kind of have a revised version reading for new system so that they can contin- defi ne what is Dundee’s look and the public hearing process in June ue to provide great patient care and feel, especially post-bypass when or July. maintain productivity throughout downtown is quieter and a nicer For more information about the the go-live and beyond,” said Mat- place to be.” project, and to view the proposed thew Kirchner, president and chief The two commercial zones are C changes, visit www.dundeecity.org. executive offi cer. and CBD. The current proposal Prior to joining Essia Health, would rezone all of downtown into Essia Health hires new Leiber held various EMR imple- CBD, which Pelz said is a more pe- EMR services director mentation positions at Providence destrian friendly code. Health and Services. “Basically the C zone allows Essia Health has announced the PHOTO COURTESY OF FINE DESIGN GROUP things like gas stations and drive- addition of Rachel Leiber to lead the Renovated sp ace earns FINE Design Group recently comp leted a rennovation of their 5, 500-sq uare-foot thru’s, and CBD doesn’t,” she said. company’s growing electronic medi- “ Best of Comp etition” offi ce sp ace in the Nob Hill neighborhood. “The intent is that CBD could be cal records (EMR) implementation more pedestrian oriented, so people services division, which provides FINE Design Group’s 5,500 will park their cars and walk go-live planning and at-the-elbow square foot Portland offi ce was re- Architects and the team at Howard offi ce: from the Collaboration Wall around to other places.” provider support. Leiber joins Essia cently honored in the International S. Wright to capitalize on the for brainstorms and strategy ses- The proposed changes have Health from a large regional health Interior Design Awards. The offi ce, space’s exposed steel structure, sions, to refi ning a design idea over been discussed at various planning system, where she managed multi- which is located in Portland’s Nob concrete fl oors and wealth of natu- coffee in the Bistro and the Library commission meetings, stakehold- ple EMR implementation projects. Hill neighborhood, was given the ral light. The result was a fresh, for entertaining clients and guests. ers’ meetings and with the Dundee As director of EMR implementa- “Best of Competition Award.” loft-like open offi ce environment Additionally, three meeting rooms City Council. Most recently was a tion services, Leiber oversees cur- FINE is a digital branding fi rm with a relaxed feel that further en- were added to the south wall, sup- public workshop April 10, discuss- rent and future go-live projects with offi ces in San Francisco, Port- couraged the collective’s collabora- plied with digital technologies to ing the results of a web survey and across the country, as well as infor- land, and Traverse City, Michigan. tive spirit. help the team strategize and share past meetings. matics support. Leiber is based out FINE worked closely with Boora Several unique zones defi ne the ideas.

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On Wednesdays she wears pink. Molly Riehl, a news anchor at Newsbeat Social, delivers her script in the studio of Newsbeat Social, an online news organization based in NW Portland. PHOTO BY JAIME VALDEZ

Like? Share? Comment? Handcraft a hashtag? NewsBeat Social is broadcasting the news to Generation Like

snacks.” downloading from YouTube and local TV By JOSEPH GALLIVAN It could be a protest abroad or a scandal at news wesbites and rapidly repackaging it all The Tribune home. Or it could be a freaky animal video, for Generation Like. such as a desert mouse taking multiple stings Advertisers have likes too: they like know- The new currency of social media is to the face from a scorpion. (The video is ing the age, sex, tastes, search history, real minted in the keyboards of users, but marked “YouTube Michigan State U.”) The names and location of their target audience, the news content has to come from rotting whale that washed up in Newfound- something Facebook has mined with spectac- somewhere. land, or the carjacker who hung from a speed- ular success. The NewsBeat Social model is to Now, a modest company out of Northwest ing New York taxi for eight miles. Putin. sell embedded video ads in the stream, in a Portland has big plans to grow into a global Obama. Snacks. PETERSON FILLIPOVA FIELDS player that doesn’t crash. Fields won’t reveal news network. The fare is served up in a 10,000 square foot any of the terms of playing in Facebook’s You may have stumbled across NewsBeat newsroom and studio at 3123 NW Industrial Riehl and Genelle Padilla read rapidly from “walled garden” however. Social’s addictive little news videos on Face- St. Previous tenants included the Big Pipe en- an iPad acting as a teleprompter, into a $5,000 “We have data that show how many Face- book, which is their main distribution net- gineers (who painted everything yellow), and Sony EXMOR HD camera. book feeds we’re in,” says Fields, who is a work. Always preceded by a 15 second video the production team of Portlandia. In a sound- NewsBeat Social is doing something right, generation older than his colleagues and hap- ad, they last exactly and attempt to proofed studio that doubles as the mess hall, a since it has 1.4 million likes on Facebook. The py to point it out. “It ranges from 140 million boil down one story of the day into what the giant green screen hangs down the wall and team of 25 full-time employees produces company founder, Stanley Fields, calls “news curves along the fl oor. Anchors such as Molly around 50 clips per day, monitoring the wires, CONTINUED / Page 9 Tuesday, May 6, 2014 BUSINESS TRIBUNE 9 ■ From page 8 No goofi ng off on Facebook: the to 267 million in a month, and that peak was newsroom team researches and this January. We are pleasantly surprised at edits content in industrial NW our hockey stick growth,” he adds, referring Portland for Newsbeat Social. to a steep line on an imaginary chart. PHOTO BY J AIME VALDEZ His core team are Moscow-born Executive VP Irina Filippova and dapper director of op- erations Tyler Peterson from Portland. “Our journalists are taking what they do very seriously because thousands of people are viewing their work,” says Filippova. “There’s no room for error in sixty seconds.” She adds that the service is popular globally, in part because the news is unbiased, and part because there is a hunger for English language news. “People are still learning English from TV, and they want the global view of the world without bias.” A recent story about rape on college cam- puses shuttled back and forth between B roll and stills of campus protests, screenshots of the website Not Alone, and a Google map of the US. The anchor, Adam Spencer in Wash- ington DC, spoke alone in front of his own green screen, while the relevant images ap- peared behind him in fi nal video. Sometimes the projected backdrop is a bank of TVs, like you’re watching a national news channel. “We’re committed to building the largest news service that’s exclusively online,” says Fields grandly. “Our goal is to have 36 bu- reaus around the world.” Right now there are seven anchors and two “ We have data that show how many Facebook feeds we’re in. It ranges from fi eld for three bureaus. “The bu- reau is just a $15,000 backpack,” he says of the gear that anchors sometimes tote from 1 40 million to 26 7 million in a month, and that p eak was this J anuary. We are home to coffee shop to strategic point in view of the White House or the UN. “But it meets p leasantly surp rised at our hockey stick growth.” the BBC benchmark for broadcast video. — Stanley Fields, NewsBeat Social founder They are one-man bands.” The company is advised by Reese Schon- feld, a founder of CNN. Peterson tells how the its immortal line, “On Wednesdays we wear Deputy Foreign Editor of the New York old cable news guy told them they had one NewsBeat Social pink.” They sit opposite meteorologist Flash Times. “But he drove from DC to work here. satellite truck in 1980 and had to choose ■ www.video.newsbeatsocial.com Lagoo (real name Jeremy) who puts out fi ve- He chose us.” whether to drive it Miami to cover the Cuban ■ https://www.facebook.com/NewsBeatSocial day forecasts for different cities around the Stevenson Junior spends his days making boatlift, or to Washington for the Mount St country. sure NewsBeat Social doesn’t miss any big Helen’s eruption. “It was a different world “He knew he wanted to be a weatherman stories that drive global news cycles, while back then,” he says, amazed. cause of the required processor, bandwidth when he was fi ve, he used to read it into a ba- keeping enough light fare coursing through So why would anyone even attempt to com- and software quality. “Adobe Final Cut Pro X nana,” says Fields, who watched his demo the Facebookers’ veins. pete with the BBC and CNN, which has news only just came out,” he says of his software reel and hired him on the spot. He gets his news from The New York gatherers everywhere? workhorse. He likes passion. “There’s a mission here, Times, naturally, and from Twitter. He likes “The BBC has a legacy cost structure that A few feet away assistant video editor Ben at 11 am on a Tuesday morning you can feel its immediacy. “Twitter gives so many per- they can’t easily unwind. Ours is roughly 50 Schile is working on an obit of the actor Bob the energy in here.” spectives you have a chance to weed out the times lower than a legacy broadcaster,” says Hoskins. He works from a script, which in- Nearby at another standing desk is Lauren bad.” He says that when aggregating news, Fields. cludes YouTube links. He forages for those Melink. She spends her entire day on Face- “Sometimes that means confi rming things There’s a startup feel to the operation: free clips online, taking up to seven seconds of book, much of it manually posting clips. with multiple sources. We’d rather be right meals, ping pong, a Zen room for retreat from each as the Fair Use law allows, but he has They are spread out to about every 35 min- than fi rst.” the screen (although it has another big the freedom to choose another, his personal utes. Science and tech plays well in the wee Impartiality is a tool to keep people read- screen in it.) There being not much to do in favorite, that he likes, a snippet from “Hook.” small hours. ing and commenting. The editors do not want the neighborhood, the company hosts a bar- Schile used to edit minor sports for local TV. Fields is tight lipped about who his inves- to be seen taking sides left or right in the becue on Fridays at noon, in part to lure tal- “It’s better to be ahead of the curve,” he says. tors are. The main one is “a media mogul that USA, or to be culturally insensitive on global ent. NewsBeat Social is hiring. Fields has Asked where he gets his news, he says News- owns a very big global publication.” stories. 1,700 applications in his inbox. Beat Social, and seems sincere. He hasn’t The rest are angel investors, lawyers, ac- “Facebook’s platform gives viewers a Upstairs in the newsroom, that video of the watched TV news since high school. If he’s not countants, people Fields has in his “web.” chance to say what they think,” says Steven- anchors talking is walked up on an XD card at work, he scans Google news and picks head- One walks in as we are talking, John Grout son. “We want the discussion (in the com- and is edited by one of nine editors. Eric Keto, lines accordingly. He never reads a paper. of the Grout (construction) Company. Grout ments section) to be not about our coverage the Senior Editor (“Because I’ve been here The anchors originate many of the stories. says he’s more in it because he believes in the but the news itself. They can take the facts the longest,”) describes how the fi les fl y back Something catches their eye, they write a mission of changing journalism than to make and draw their own conclusions. We want and forth while he manages the workfl ow at script and send it down the line to be illus- a quick profi t. Likes and Shares, but we really want the his standing desk. trated. On this Wednesday Riehl and Padilla Peter Stevenson is NewsBeat Social’s Man- deeper level of engagement that comes with Such a system could not have been done are wearing pink for fun, it being 10 years aging Editor. Fields says Stevenson could Comments.” this cheaply fi ve years ago, he admits, be- since the movie “Mean Girls” came out, with have got a job anywhere, since his father is What’s not to “Like” about that? 10 BUSINESS TRIBUNE Tuesday, May 6, 2014

TRIBUNE PHOTO: K YLE GREEN Michelle Reitenbaugh, Pharmacy Technician for K aiser Permanente, p rep ares a p atient’s p rescrip tion at K aiser’s state of the art p harmacy in Tualatin. “ This rep ort shows that Portland-metro’s health care sector is a bright sp ot in our economy. This sector sup p orts the growth of middle-wage j obs and traded-sector activity in our region.” — Gregg K antor, chair of the Portland Business Alliance board of directors and CEO of Northwest Natural

By J OSEPH GALLIVAN pared to other hospital referral The Tribune regions (HRRs) we have low rates of heart disease, rheuma- Cover Oregon was the $248 toid arthritis and osteoporosis, million elephant in the room but we’re victims when it comes when Governor Kitzhaber and to depression, asthma and atrial Kaiser Permanente boss Ber- fi brillation. nard Tyson addressed the Port- The report analyzes the health land Business Alliance last care industry in Portland-metro Tuesday. through a variety of measure- The Alliance, however, issued a ments, including the health of report the same day to add a little residents, delivery of health care context. services and job, incomes and Cover Oregon aside, The report, which was prepared traded-sector activity supported on behalf of the Value of Jobs Co- by the industry. Key report fi nd- alition, claimed that the Portland ings include: healthcare sector is effi cient, ■ When compared to hospital growing and strong. It also shows referral regions throughout the the rest of healthcare Portland-metro’s health care sec- U.S., Portland-metro ranked in tor is also growing middle-wage the healthiest quartile — or bet- jobs faster than other sectors of ter — in occurrence of most the economy and has a growing chronic medical conditions. is doing well in role as a traded-sector industry in ■ Portland-metro ranks posi- the region. tively compared to other regions “This report shows that Port- on health care delivery metrics land-metro’s health care sector is that most impact cost. a bright spot in our economy,” ■ Portland-metro’s health care Portland said Gregg Kantor, chair of the industry is expected to generate Portland Business Alliance board a 22 percent growth in middle- of directors and CEO of Northwest wage jobs between 2012 and 2022. Natural. ■ On an annual basis, Port- “This sector supports the land-metro’s health care industry growth of middle-wage jobs and employs approximately 113,000 traded-sector activity in our individuals, generating over $6.9 region.” billion in total payroll and over Healthcare is big business in Oregon according There are 113,150 health care $13.6 billion in revenue. to a recent rep ort p rep ared on behalf of the jobs in the metro area, with a total The Value of Jobs Coalition in- Value of J obs Coalition. Here, Dr. Michael annual payroll of $6.9 billion. That cludes the Portland Business Al- Heinrich stands on the stairway that is shap ed means around 13 percent of us liance, Associated Oregon Indus- like a double helix cell at the Veterans don the old scrubs, tap away at a tries, Greater Portland Inc., Ore- Administration Hosp ital. Heinrich is a medical record keyboard or clean gon Business Association, Ore- researcher and has p ractices in both a clinic. gon Business Council, and Port of hematology and oncology at the K night Cancer Portlanders are generally Portland. Institute at OHSU and the V.A. Hosp ital. healthier than people in Seattle, TRIBUNE PHOTO: J AIME VALDEZ Denver and Minneapolis. Com- Full report at www.valueofjobs.com. Tuesday, May 6, 2014 BUSINESS TRIBUNE 11

By TYLER FRANCKE headaches, drowsiness, eye irritation, and in For Pamplin Media Group long-term cases, nervous system depression). Unlike many other gases, styrene has a It’s not every day that a report by a fed- CLEARING THE AIR very low odor threshold: Its smell can be de- eral government organization raises eye- tected in the air at a saturation of only .32 brows on the Gervais City Council, but that ppm — still well below harmful levels. happened earlier this month, following the FIBER-FAB Styrene is also emitted from common build- publication of the annual Toxic Release In- ABOUT ing materials, consumer products, tobacco ventory by the Environmental Protection smoke and automobile exhaust. Agency. According to the EPA, ambient air in urban The annual report by the EPA is a compi- locations contains styrene concentrations of lation of data related to the management of between .068 and .8 ppm, which is higher than certain toxic chemicals that may pose a the fence-line exposure rate of Fiber-Fab. threat to human health and the environ- “Certainly, we wouldn’t permit a facility if ment. Several regional media outlets cov- we thought there were any adverse effects,” ered the inventory as it pertains to local fa- Fallon-White said. “We have evaluated the air cilities, and Fiber-Fab LLC — a Gervais- quality impacts from the emissions of Fiber- based manufacturer of shower stalls and Fab and have determined that they would not bathtubs — was reported to be the “top pol- have an adverse effect on human health or luter” in Marion County. the environment.” According to the EPA, Fiber-Fab released This is not the fi rst time local offi cials have 72,907 pounds of toxic chemicals to the envi- expressed concerns about the facility. In 2004, ronment in 2012, far outpacing any other local DEQ representatives met with former Ger- companies included in the inventory. Its pri- vais School District Superintendent Larry mary pollutant is styrene, a chemical used in Glaze and two school staff members to dis- the production of certain plastics and resins, cuss their fears regarding the facility’s prox- which can affect the nervous system of indi- PAMPLIN MEDIA GROUP PHOTO imity to Gervais High School. viduals exposed to high levels of the gas. Fiber-Fab, located on the corner of Highway 99E and Douglas Avenue in Gervais, is pictured last week. “(DEQ) has come to the conclusion that A Gervais city councilor presented a copy no adverse impacts to the health of students of one of the media reports on the inventory Fiber-Fab, appear to show no cause for con- pected if one were living 300 feet away) at .003 or staff will result from exposure to styrene during the city’s most recent meeting. cern regarding public health and safety. parts per million (ppm). at the levels that have been emitted or may “I thought it was interesting,” Mayor Shanti Karen White-Fallon, permit inspector for The safe exposure level for an eight-hour be emitted to the air from Fiber-Fab,” Senior Platt said afterward. “We might want to make Oregon DEQ-Salem Air Quality, said the sty- work day, as determined by the Occupational Air Quality Specialist Jim Boylan wrote at it a topic of conversation.” rene releases emitted by the facility are well Safety and Health Administration, is much, the time. Fortunately, data provided by the Oregon within safe levels. She said a 2004 DEQ analy- much higher than that: 100 ppm. It is not until Reached last week, Fiber-Fab President Department of Environmental Quality, which sis estimated the “fence-line” exposure level styrene exposure crosses this threshold that Walt Mulvey declined to comment for this permits, regulates and oversees emissions by from this facility (i.e., the accumulation ex- it would cause harmful effects (which include story.

BUYING OR SELLING YOUR CAR IS ABOUT TO GET A WHOLE LOT EASIER!

.com POWERED BY 468423.041514 pt bt 418803.012313 AS 12 BUSINESS TRIBUNE Tuesday, May 6, 2014 Working to satisfy clients around the globe Hillsboro company taps world markets

By KA THY FULLER Pamplin Media Group

In the fast-paced, high tech world of corporate events plan- ning, sometimes it just boils down to knitting a sock. At Satis&fy, a global events com- pany with a relatively new branch in Hillsboro, manager Maika Janat said the goal is, indeed, to satisfy the clients. Recently that entailed knitting a 12-foot sock for Nike’s launch of Kobe 9, a basketball shoe that re- sembles and feels a bit like wear- ing comfy socks. Janat said there were six knit- ters in the offi ce working feverish- ly to fi nish the sock on time. Satis&fy, a privately-owned com- pany based in Karben, Germany, has offi ces across Europe and opened the PDX offi ce 18 months ago on Cornelius Pass Road in Hill- sboro. It’s the only U.S. offi ce, said Janat, who moved from Germany to open the branch. Satis&fy plans and executes large events — ranging from trade shows to product launches to rock concerts — handling the design, lo- gistics, equipment needs and setup. In a nutshell, Janat said, “we do what the project wants and needs” — lighting, audio and video design, exhibit construction, inventory management — even knitting giant PAMPLIN MEDIA GROUP: KA THY FULLER socks. Maika J anat heads the PDX offi ce of event p roduction comp any satis& fy, located on Northwest Cornelius Pass Road in Hillsboro. “They (the clients) put all their trust in our hands. We decide how to split that cake,” Janat said. well established. but the company recycles or do- Nike is the branch’s largest cli- “We need to have people who nates items that don’t come back ent, currently accounting for about Starting with j ust two emp loyees at the PDX understand the whole system,” to the warehouse for reuse. 80 percent of its business. Accord- Janat said. “We can educate them Just how “green” an event is de- ing to Janat, Nike had been asking branch, Satis& fy now has 1 6 emp loyees and in best (about how the company oper- pends in part on the clients, who for many years for Satis&fy to ates) if they start young with us.” have choices about what types of open a local offi ce. With email and j ust 1 8 months has outgrown its current digs. Janat herself started at the com- paper to print on and whether to videoconferencing, Satis&fy was pany as an intern. use printed materials, as well as able to work with Nike from afar. This summer, the PDX offi ce will whether to print signs on vinyl or Then came the recession in 2008. offer a week-long summer camp at recyclable material. “There was always a reason not model. For one, warehouse space is ties and company culture, which is the end of July. Details are still be- “We try to be as green as the in- to do it,” Janat said. less expensive outside the main a bit different than a typical offi ce, ing worked out, Ritt said, but will dustry allows and as green as the Starting with just two employees city center.” said Satis&fy’s Gayle Ritt. be fi nalized soon. client wants to be,” Janat said. at the PDX branch, Satis&fy now Hillsboro provides easy access The offi ce atmosphere is casual Interested high school and col- A member of AV Alliance, a has 16 employees and in just 18 to clients, vendors, transportation and fl exible, and at the same time lege students are invited to send a global network of event technology months has outgrown its current and shipping. dynamic, Ritt said. There’s no real resume to: WendyTaunton@satis- rental specialists, Satis&fy uses digs. The woodshop will soon be Satis&fy recently hosted two need for titles and an offi ce hierar- fy.com. the network to fi nd sustainable so- moving across the alleyway to the high school interns through the chy. “A lot of people say there is noth- lutions. Additionally, Janat draws next warehouse. Hillsboro Chamber of Commerce’s “We need a team to get things ing green about the events indus- on knowledge from 350 employees “All our offi ces are a little off School-to-Work program. The done,”Janat explained. try,” Janat said. all over the globe. center,” Janat said, referring to its 30-hour internships gave the stu- That’s why the company’s in- Green and sustainable materials “There is so much knowledge in location. “It’s part of our business dents a taste of career opportuni- ternship program in Germany is can be more expensive, she said, this company,” she said. Tuesday, May 6, 2014 BUSINESS TRIBUNE 13

Retired fl ight attendant brings Maui to the mainland, one bottle at a time ON THE

By SHANNON O. WELLS Pure Hawaiian Air Pamplin Media Group AIR Paradise Preserved, scented, bottled air designed to evoke the If you knew you could separate thousands of folks intoxicating fragrance of Maui, Hawaii from their hard-earned money by selling air, you’d give ■ Entrepreneur: Beaverton resident John Farmer it a shot, right? ■ Price: $6 a bottle Beaverton resident John Farmer is living, grinning proof ■ To purchase: Visit purehawaiian air.com it can be done. But if you want to peddle scented air in a bottle, make sure it doesn’t evoke Maui in the Hawaiian Is- lands. He’s got that particular breeze covered. I’m pulling it off the market.’” Farmer’s “Pure Hawaiian Air — Paradise Preserved,” With Pure Hawaiian Air, Farmer chose to focus on some- takes customers on an olfactory-based virtual tour via tiny, thing much closer to his heart — the scents and feeling of scented beads rattling in the bottom of a 12-ounce-sized Maui, his favorite travel destination. Relaxing on the beach blue plastic bottle. For $6 a pop, customers can get seem- with his wife, Terry, while reading “Chicken Soup from the TIMES PHOTO: J ONATHAN HOUSE ingly unlimited whiffs of the plumaria fl ower, a common in- Soul of Hawa’i,” Farmer was inspired by TV marketing mo- Novel entrep reneur J ohn Farmer shows off three of the p roducts gredient in the fl owered Hawaiian leis that circle the necks gul Al Masini’s way of thinking. he’s launched into the marketp lace since the 1 9 9 0s, including Pure and chests of island tourists. “He said he wished he could bottle air like Evian does Hawaiian Air, Tonya ( Harding) Hot Sauce and J ail Blaz er J am. By selling case quantities of the bottled aroma to travel water” and send it home with people. agents, gift shops and other tourist-oriented businesses, Terry wasn’t sold on the idea, but upon Farmer’s retire- the retired Continental Airlines fl ight attendant sells — ment after 31 years with Continental — prompted by the The bottled scent, he concedes, is really intended to whet some through bulk discounts — around 10,000 bottles a Sept. 11, 2001, terrorist attacks — he went for it anyway. a traveler’s appetite for a return trip to Hawaii. month. Working with a chemist to develop pleasing scents, “There’s something about the trade winds and sunshine “People spend 25, 30 bucks on a lei, and (the fl owers) are Farmer set up shop online at purehawaiianair.com and that makes the air so invigorating and health-producing,” dead by the time they get back to Chicago,” he says. “So I marketed to gift stores in Maui. Within two months, he’d he says, crediting his airline career with showing him the thought, let’s put the scent in a bottle and sell it. It’s para- sold more than 2,000 bottles. Pacifi c island chain, and the world at large. “My wife says dise preserved.” The 67-year-old has traffi cked in “Heaven In a Bottle,” I’ve never worked a day in my life. I got to travel the world, Farmer cut his novelty product entrepreneur teeth in the one of the slogans on the Pure Hawaiian Air container, fl y everywhere and serve drinks and meals. It was great.” 1990s, while still working for Continental. Trading on the ever since. Farmer, who turned down an opportunity to battle for notoriety of disgraced Olympic fi gure skater Tonya Hard- “It’s just a fun job,” he says, likening his idea to the 1970s business funding on ABC-TV’s “Shark Tank” reality show, ing and the formerly scandal-prone Portland Trail Blazers phenomenon in which people purchased shapely stone comes up with new product ideas all the time. Acting on lineup, Farmer marketed “Tonya Hot Sauce” and “Jail Blaz- “pets” nested in a small cardboard box. “Like the Pet Rock, them, however, is another matter. er Jam” to considerable acclaim during the Clinton years. it’s crazy, but I thought it just might work.” “I wake up in the morning and have a new idea. But my “I used to read the papers and think, ‘What kind of mon- wife says, ‘No, those days are over,’” he admits. “To start an ey can I make off these screw-ups,” he says with a chuckle. idea takes a lot of money. It wasn’t cheap.” Eventually, he heard from Harding’s attorneys about the That said, Farmer proves there’s no better way to treat sauce, whose bottle featured cartoons of a disheveled “ It’s j ust a fun j ob. Like the Pet Rock, it’s an idea than to put it into action. Tonya in an unkempt yard outside an Airstream-like trailer. craz y, but I thought it j ust might work.” “A lot of people have great ideas. They just don’t go for it. “Tonya sued me,” he recalls. “They issued a cease-and- They’re scared of the unknown,” he says. “But if you really desist order. Or, if I wanted to share profi ts, they wanted 15 — J ohn Farmer, believe in something, just give it a shot. Just don’t tell your to 20 percent. Does that not sound like Tonya? I said, ‘No, founder of Pure Hawaiian Air business, which sells bottled scented air wife about it.” 1 4 BUSINESS TRIBUNE Tuesday, May 6, 2014 STATEWIDE Josephine County construction employment is less than half of what it was in 2006

By SHAUN HALL Grants Pass Daily Courier

Construction employment in Josephine County remains far below boom times of eight years ago, according to the Oregon Employment Department. In comparison, construction employment in Oregon is up Eli Turner, left, of J BL nearly 11 percent over a year ago, with Construction and those gains mainly in the Portland area. Brandon Combe of “It’s the Portland region that’s driving the Farmers Building state number,” said Guy Tauer, an employ- Sup p ly unload ment department analyst based in Medford. sup p lies Tuesday at As for Josephine County’s construction 1 1 0-lot Summerfi eld employment, it was down to 640 jobs in Estates, near the March, compared with a whopping 1,760 Redwood Highway jobs in March 2006. and Hubbard Lane. “We really haven’t come much off the Construction bottom,” Tauer said. emp loyment in Josephine County did well during boom J osep hine County is times, but has fallen further in bust times — about one-third of what Tauer called “a stronger boom and a p revious levels. deeper bust.” Recently, the department reported that SHAUN HALL/DAILY COURIER the number of construction jobs in the state shot up by 7,800 jobs, comparing March of this year with March of last year. But in Jo- sephine County, construction employment declined to 640 jobs last month, down 70 jobs compared with a year earlier, when there were 710 construction jobs in the county. Similarly, Jackson County has lost 80 con- struction jobs in the past year. In a related matter, residential building permits are down in Josephine County, com- Construction employment pared with boom times: 126 last year vs. 627 in 2006. Still, that 126 permits issued last year was up slightly from 2012, when only 81 Southern Oregon were issued. lagging in “Residential building permit numbers are above the recession lows, but have not re- bounded to the point that we have seen very much change in construction employment totals,” Tauer said. We’re one of the few contractors still in The downturn in construction jobs con- “ We’re totally buried. I have eight houses to build this business. trasts with an overall increase in jobs in “A lot of the guys are gone. There used to Josephine County. year. I can’t fi nd carp enters and laborers. I would love be 25 or 30 contractors, maybe 40. Now, may- The seasonally adjusted unemployment be there’s 10.” rate in March in the county was 9.7 percent, to p ut together another crew.” Brinkerhoff described the bust as “fi ve down from 11.3 percent in March of last — J eff K agay, J BL Construction years of little to no activity.” year. “A lot of the skilled people left,” he said. Framing contractor Jeff Kagay, owner of “As you’re looking for framers, there’s not JBL Construction, said he has more than he schools for cutting wood shop programs. fi eld Estates and owned by Oregon Pondero- nearly as many as there used to be. could handle, but is having a hard time fi nd- He said he had plenty of work. sa, which purchased it after foreclosure. “It’s going to be a gradual process,” he ing good employees. He’s working a 110-lot “We’re totally buried,” he said. “I have Northridge Business Manager Ken said. “You’ve got to fi nd employees, get them subdivision near Redwood Highway and eight houses to build this year. I can’t fi nd Brinkerhoff said business — and employ- trained and you’ve got to sell houses. There Hubbard Lane. carpenters and laborers. I would love to put ment — is down compared to boom times, might be a month or two where there’s no “It’s very hard to fi nd good carpenters,” together another crew.” but improving. work. It’s back and forth, halting, stop. It’s he said. He pays his lead carpenter $17 an hour, He said once had as many as 30 employ- all driven by sales.” Kagay blamed people who would rather with the possibility of that going above $20 ees, then was down to three. Now he’s added The homes that Northridge is building collect unemployment benefi ts than work, an hour. a few back. will go on the market for about $225,000. people who want to work under the table to Kagay is a subcontractor for Northridge “Things are picking up,” he said. “We’re avoid paying child support, and some who Homes, which is currently building fi ve doing it with contract labor rather than em- Reach reporter Shaun Hall at 541-474-3813 or could not drive due to DUIIs. He also blamed homes in the subdivision, called Summer- ployees. We’re cautious, very cautious. [email protected] Tuesday, May 6, 2014 BUSINESS TRIBUNE 15 16 BUSINESS TRIBUNE Tuesday, May 6, 2014 468358.050814 WIB